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New UserNew trial begins in Oakland’s coal fight. What’s at stake?
12 Jul 2023
The
developer behind a controversial coal terminal claims over $148 million in lost
profits. Oakland says residents’ health and safety are at risk.
Oakland's former Army Base seen from the air. The
triangular slice of land on the left, known as the "West Gateway" was
the location of a proposed coal export terminal. Credit: Courtesy city of Oakland
The latest battle in Oakland’s long-running coal war got underway Monday in Alameda County Superior Court with the start of a trial pitting the city against a developer who has sought for about a decade to build a fossil fuel export terminal near the Port of Oakland.
Developer
Phil Tagami and his company Oakland Bulk and Oversized Terminal claim that
Oakland officials deliberately sabotaged his company’s efforts to build a
marine export terminal at the old West Oakland Army Base. According to the
lawsuit, filed by Tagami and his associates in 2018, the city “engaged in an
uninterrupted pattern of delay and interference, all with the objective of
preventing OBOT from completing this project.”
Oakland
argues that the developers tanked their own project by missing construction
milestones, partly because they were single-mindedly focused on obtaining a
lucrative deal with other companies to export coal mined in Utah to distant
foreign markets.
On Monday, attorneys for both sides laid out the arguments and evidence they intend to share as the trial proceeds over the next few weeks.
A
staggering amount of money is riding on the case. According to Tagami and his
associates, the city’s actions have cost his companies millions in lost
profits. According to court records, the developer claims to have missed out on
upwards of $148 million in earnings.
But
the potential consequences are broader. If the developer wins, the court may
grant Tagami’s company permission to build the terminal in West Oakland. The
project’s boosters claim it will energize Oakland’s economy by creating jobs
for locals.
But
environmental advocates and scientists who have studied the plans for the
terminal and impacts of shipping coal to it on trains say the facility would
contribute to global warming and blanket communities in West Oakland and
elsewhere with toxic coal dust.